Miner boosts gold extraction

Castlemaine Goldfields says it is experiencing a 25 per cent increase in gold being extracted out of ore from its Ballarat gold mine.

The company's managing director, Matthew Gill, says at current gold prices it expects to produce about $14 million more profit.

"So while it's not a lot of ounces, it's about 9,000 ounces, it's a good increase," he said.

"So that's a 25 per cent increase in only the space of a few months, so if we can keep doing that I think everybody will be happy about that."

Mr Gill says the company has also released results from exploration in other parts of the mine.

He says the new data points to new potential gold reserves.

"We've had a second drill rig 200 metres to the north of that drilling, what we call the Britannia compartment, and it's been drilling there full-time since January and so far we are only about 45 per cent through that program but we are starting to see five areas emerge that we think might have mining potential," he said.